Reviewing Data I/O (NASDAQ:DAIO) and Ostin Technology Group (NASDAQ:OST)

Data I/O (NASDAQ:DAIO) and Ostin Technology Group (NASDAQ:OST) are both small-cap computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their risk, analyst recommendations, institutional ownership, earnings, valuation, dividends and profitability.

Profitability

This table compares Data I/O and Ostin Technology Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Data I/O	-11.49%	-14.60%	-10.62%
Ostin Technology Group	N/A	N/A	N/A

Risk and Volatility

Data I/O has a beta of 1.05, meaning that its stock price is 5% more volatile than the S&P 500. Comparatively, Ostin Technology Group has a beta of 0.68, meaning that its stock price is 32% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Data I/O and Ostin Technology Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Data I/O	1	0	1	0	2.00
Ostin Technology Group	1	0	0	0	1.00

Data I/O presently has a consensus target price of $5.22, indicating a potential upside of 69.48%. Given Data I/O’s stronger consensus rating and higher probable upside, equities analysts plainly believe Data I/O is more favorable than Ostin Technology Group.

Insider and Institutional Ownership

37.0% of Data I/O shares are held by institutional investors. Comparatively, 21.9% of Ostin Technology Group shares are held by institutional investors. 2.6% of Data I/O shares are held by company insiders. Comparatively, 44.8% of Ostin Technology Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Data I/O and Ostin Technology Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Data I/O	$21.77 million	1.33	-$3.09 million	($0.28)	-11.00
Ostin Technology Group	$32.46 million	0.28	-$10.06 million	N/A	N/A

Data I/O has higher earnings, but lower revenue than Ostin Technology Group.

Summary

Data I/O beats Ostin Technology Group on 7 of the 12 factors compared between the two stocks.

About Data I/O

Data I/O Corporation, together with its subsidiaries, engages in the design, manufacture, and sale of programming and security deployment systems and services for electronic device manufacturers in the United States, Europe, and internationally. Its programming system products are used to program integrated circuits (ICs) with the specific data for the ICs. The company offers PSV handlers off-line automated programming systems, such as PSV2800 automated programming system which focuses on high-volume manufacturing in a lower cost platform; PSV7000 automated programming system for security deployment upgrades; PSV5000 automated programming system that combines mid-range capacity and supports security deployment; and PSV3500 automated programming system which provides basic programming needs. It also provides SentriX security deployment system; and LumenX and non-automated FlashPAK III programming systems. In addition, the company offers hardware support, system installation and repair, and device programming services. It markets and sells its products to original equipment manufacturers in automotive and consumer electronics, internet of things, and industrial, as well as electronic manufacturing service contract manufacturers through direct sales, and indirect sales representatives and distributors. Data I/O Corporation was incorporated in 1969 and is headquartered in Redmond, Washington.

About Ostin Technology Group

Ostin Technology Group Co., Ltd. designs, develops, and manufactures thin-film transistor liquid crystal display (TFT-LCD) modules and polarizers in China. It offers display modules to markets, such as consumer electronics, including AIOs, monitors, laptop computers, and tablets; automotive displays, including dashboard, and navigation and multimedia systems; and commercial LCD displays, which are used to display multimedia graphics, such as company advertisements, promotions, scoreboards, and traffic signs in education, medical treatment, business, outdoor, and cultural construction industries. The company sells its products directly to customers, as well as to customers' designated system integrators. Ostin Technology Group Co., Ltd. was founded in 2010 and is based in Nanjing, China.